from The Sun The federal agency tasked with regulating the nation’s government-backed mortgage firms said it may oppose local agencies’ efforts to use eminent domain to take over underwater mortgages. The controversial plan is being considered for use in San Bernardino County, where an estimated 150,000 homeowners owe more on their mortgages than their homes [...][Continue Reading...]

from American Banker On Wednesday, Chicago’s City Council adopted a resolution to explore a plan that would “purchase underwater mortgages out of securitized packages of loans at a steep discount, write them down to fair market value, and then create a new mortgage with a much reduced principal and monthly payment.” The Chicago resolution comes [...][Continue Reading...]

of course this wouldn’t happen with banking industry influenced Ventura County Board of Supervisors… from Huffington Post In a sign of desperate times, some California city officials may be using some drastic measures to help the glut of struggling borrowers. In California’s San Bernardino County, and in the cities of Fontana and Ontario, policymakers are [...][Continue Reading...]